Hayek is currently in vogue with the American right but for the sake of balance, here is what Paul Krugman (Nobel prize economist) has to say:
"Via
Mark Thoma, David Warsh finally says what
someone needed to say: Friedrich Hayek is not an important figure in the history of macroeconomics.
These days, you constantly see articles that make it seem as if there was a great debate in the 1930s between Keynes and Hayek, and that this debate has continued through the generations. As Warsh says, nothing like this happened. Hayek essentially made a fool of himself early in the Great Depression, and his ideas vanished from the professional discussion.
So why is his name invoked so much now? Because
The Road to Serfdom struck a
political chord with the American right, which adopted Hayek as a sort of mascot and retroactively inflated his role as an economic thinker.
But the Hayek thing is almost entirely about
politics rather than economics. Without
The Road To Serfdom and the way that book was used by vested interests to oppose the welfare state nobody would be talking about his business cycle ideas."
Will read about Caleb when I get a moment.
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